London-based Builder.ai’s co-founders named in money laundering probes in India: Report

The cofounders of the AI-driven startup Builder.ai, Sachin Dev Duggal and Saurabh Dhoot, find themselves embroiled in legal controversies as they face allegations in two distinct criminal cases in India. 

Duggal is implicated in a money laundering case linked to the now-defunct electronics conglomerate Videocon, while Dhoot is accused in a separate loan fraud case. 

The Enforcement Directorate's probe

The core of the dispute surrounding Duggal centers on the Enforcement Directorate's (ED) scrutiny of supposed "unexplained transactions" between Duggal's previous firm (excluding Builder.ai) and Videocon.

The investigation, which examines dealings from 2008 to 2012, indicates that Videocon channeled funds to an Indian company established by Duggal, which were purportedly redirected to Videocon's foreign entities. Even though Duggal contested a non-bailable warrant and refuted any misconduct, the Delhi High Court has sanctioned the ED's request to classify him as a "suspect."

Dhoot's legal challenges

On the other side, Saurabh Dhoot faces allegations related to an entirely different case of loan fraud. The specifics of Dhoot's involvement remain under wraps, but his legal predicament adds complexity to the narrative surrounding Builder.ai's leadership.

Dhoot's lawyer said that he was not involved in setting up Nivio, a company associated with Duggal, and by extension, his connection to the alleged financial discrepancies is being scrutinized.

What does Builderi.ai do?

Despite the legal turmoil surrounding its cofounders, Builder.ai has made significant strides in the tech industry. Launched in 2016 as Engineer.ai, the startup aims to simplify the process of creating apps and websites using artificial intelligence, likening it to "ordering pizza."